Canadian Small Businesses Are Running Out of Time to Address Cyber Threats

A growing number of Canadian small businesses are finding themselves on the front lines of cyberattacks yet many continue to underestimate the risk. According to Coalition’s Small Business Cybersecurity Study, 86% of Canadian respondents experienced at least one cyber incident in the past five years, outpacing the global average. The report paints a concerning picture: rising threats, persistent underinvestment, and a false sense of security.

Despite this reality, most small businesses are still treating cybersecurity and cyber insurance as optional. The study found that 75% of Canadian respondents allocate only 10% or less of their budgets to cybersecurity. Even more telling, 70% still believe they’re too small to be considered a real target. That misconception is proving dangerous.

Threat actors are no longer just targeting big enterprises. They’re looking for the easiest way in and small businesses, with lean IT resources and often outdated defenses, have become prime entry points. Whether through ransomware, phishing, or system compromise, a successful attack can lead to major financial loss, reputational damage, or even the permanent closure of a business. And without sufficient insurance coverage, recovery becomes even harder.

The urgency is building. Coalition’s data shows that 90% of Canadian small business owners believe their cyber risk has increased in the past year, and over half now spend more than 10 hours a week on cybersecurity activities. But more time spent doesn’t automatically mean better protection especially without a structured approach, proper tools, or external support.

This is where managed security service providers (MSSPs) can make a measurable difference. Directpath Global Technologies (DGT), a Canada-based MSSP, offers small businesses the kind of enterprise-level cybersecurity infrastructure that’s often out of reach. From Mobile Threat Defense (MTD) and Extended Detection and Response (XDR) to Vulnerability Assessments (VAPT), SOC2 compliance, and Web Application Firewall (WAF) implementation, DGT helps businesses establish defenses that grow with them.

Our vCISO services and AI-powered solutions further tailor protection to your specific operations whether you're focused on data security, compliance, or customer trust.

Cybersecurity isn’t a luxury it’s a business essential. As threat actors become more aggressive and smarter in their tactics, small businesses must move beyond reactive thinking. Now is the time to take proactive steps, shore up vulnerabilities, and ensure that both cybersecurity tools and insurance coverage are part of a well-rounded risk management strategy. Waiting any longer could be a costly mistake. Source: Insurance Business